AM Best Affirms Credit Ratings of Members of GEICO
- April 16, 2026 01:35 PM (EDT)
//BestWire// - AM Best has affirmed the Financial Strength Rating (FSR) of A++ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aaa” (Exceptional) of the members of Government Employees Group (GEICO) (Bethesda, MD). The outlook of these Credit Ratings (ratings) is stable. These companies are collectively referred to as GEICO. (See below for a detailed list of the companies and ratings.)
The ratings of GEICO reflect the group’s balance sheet strength, which AM Best assesses as strongest, as well as its strong operating performance, very favorable business profile and appropriate enterprise risk management (ERM).
The ratings additionally reflect GEICO’s robust capitalization and consistency in key balance sheet strength metrics, along with its strongest level of risk-adjusted capital, as measured by Best’s Capital Adequacy Ratio (BCAR). Policyholders’ surplus has grown in most years, aside from 2022, with double-digit growth having been reported in each of the most recent three years (2023–2025). GEICO has a historical track record of operating profitability and continues to outperform the private passenger standard automobile industry composite on a five- and 10-year average basis. Operating profits persisted in 2025 as evidenced by a combined ratio of 85.5% with nearly $4.2 billion in underwriting gains, with positive results in more recent years having been a product of improved rate adequacy across its core lines of business. GEICO’s results also reflect a considerable underwriting expense advantage due to its direct business model.
Furthermore, the ratings are reflective of GEICO’s brand name recognition and prominent national market position in the personal automobile insurance segment. The group maintains considerable scale, geographic diversification, market share, and technology, which provides distinct advantages over its competitors. AM Best assesses GEICO’s ERM as appropriate, as the group’s risk management capabilities align with its overall risk profile. Lastly, the ratings benefit from ongoing support, provided explicitly by GEICO’s indirect parent company, National Indemnity Company, and implicitly by GEICO’s ultimate parent, Berkshire Hathaway Inc. (Berkshire), which has a long history of strong profitability. GEICO’s financial flexibility is enhanced by Berkshire’s financial profile, which includes nearly $720 billion of stockholders’ equity as of Dec. 31, 2025.
The FSR of A++ (Superior) and the Long-Term ICRs of “aaa” (Exceptional) have been affirmed with stable outlooks for the following members of Government Employees Group:
- GEICO Casualty Company
- GEICO General Insurance Company
- GEICO Indemnity Company
- Government Employees Insurance Company
- GEICO Marine Insurance Company
- GEICO Advantage Insurance Company
- GEICO Choice Insurance Company
- GEICO Secure Insurance Company
- GEICO Texas County Mutual Insurance Company
- GEICO County Mutual Insurance Company
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings (BCR), Best’s Performance Assessments (PA), Best’s Preliminary Credit Assessments (PCA) and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.